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Pierangelo Garegnani: Policy Implications of the Critique of Political Economy

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  • Antonella Palumbo
  • Attilio Trezzini

Abstract

Notwithstanding his fundamental contribution to the critique of the neoclassical notion of capital, we maintain that Pierangelo Garegnani’s research has been especially characterized by the reconstruction of an alternative approach to economics. Following Sraffa’s lead, Garegnani found such an alternative approach in the Classical theory of value and distribution, and put forward a Classical-Keynesian theory for output determination. In this approach, prices are not scarcity indexes, the absence of any spontaneous tendency to full employment abolishes optimality of market economies, income distribution results from social − not natural − forces. The policy implications of this approach are considered.

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Article provided by Associazione Rossi Doria in its journal QA.

Volume (Year): (2011)
Issue (Month): 4 (December)
Pages:

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Handle: RePEc:rar:journl:0229

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Keywords: Pierangelo Garegnani; Piero Sraffa; Capital theory; Classical surplus approach; Effective demand;

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  1. Pierangelo Garegnani, 2005. "Capital And Intertemporal Equilibria: A Reply To Mandler ," Metroeconomica, Wiley Blackwell, vol. 56(4), pages 411-437, November.
  2. Pierangelo Garegnani & Attilio Trezzini, 2010. "Cycles and Growth: A Source of Demand-Driven Endogenous Growth," Review of Political Economy, Taylor & Francis Journals, vol. 22(1), pages 119-125.
  3. Pierangelo Garegnani, 2007. "Professor Foley and Classical Policy Analysis," Review of Political Economy, Taylor & Francis Journals, vol. 19(2), pages 221-242.
  4. Garegnani, P, 1970. "Heterogeneous Capital, the Production Function and the Theory of Distribution," Review of Economic Studies, Wiley Blackwell, vol. 37(3), pages 407-36, July.
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